Govt Urges Oil Firms to Submit Application for Permit

The Permanent Secretary, Federal Ministry of Trade and Investment Mr. Dauda Kigbu has urged oil companies in the country to submit their application for permit to lift oil on time to avoid delay.

This appeal was made during the meeting of the officials of Federal Ministry of trade and Investment with officials of the Nigeria Petroleum Corporation and the Oil companies at the Ministry’s headquarters, in Abuja.

The Permanent Secretary stated that the Ministry was making arrangements with relevant government agencies to strengthen the process that will ensure that Permit to oil companies will be issued without delay.

He recalled that status report has not been forwarded to the Ministry to enable it provide feedback to government on actual quantity of oil lifted against the Permit clearance issued by the Ministry.  “It is required that all oil companies must comply with this directive.  “ Kigbu stressed.

The Permanent Secretary urged them to comply with the agreed time table for submission of applications adding that Weights and Measures division of the Ministry has been upgraded to a Department to ensure that it captures quantity of oil lifted in the country as well as proper calibration of equipment.

In his contribution the  Director Weights and Measures, Mr. Joseph Sikuade stated that the department has been given the power and requires laws to move in and do quantity assurance, proper calibration at the loading terminal and daily verification of all calibrating equipment for lifting oil.

He appealed for cooperation of the stakeholders in the oil and gas sector adding that the Ministry will reach out to all stakeholders on the implementation process.

“This is a synergy, it is not a threat, we need to work together for the good of Nigeria.  We intend to do the right thing as it should be done to ensure transparency and honesty in the economy”

On the overlapping role of the Department and Department of petroleum Resources, the Director stated that there was a distinction in terms of responsibility as stipulated by the law noting that the Department of Weights and Measures takes responsibility of custody transfer from DPR to oil companies and ensure that equipment used for transfer was properly calibrated, legal and transparent.

Stakeholders at the meeting urged the Ministry to officially inform those companies that were not complying with the guideline on submission of application for clearance permit and take necessary punitive action.

Officials of the following companies and organizations were at the meeting: were SHELL Petroleum Ltd, Dubri Oil Company Ltd, Petrobrass/petroleum Engineer, CNOOC E&P Ltd, WalterSmith, Statoil Nig. Ltd, Famfa Nig. Ltd, SEPTA ENERGY, and Nigeria Liquidfied Natural Gas Ltd. Others were Seplat Petroleum Dev. Company, NAOC, ENERGIA Limited, Platform Petroleum Ltd, South Atlantic Petroleum Ltd, MidWestern oil& Gas Co. plc, Nigeria National Petroleum Company, Afren Nigeria, Chevron Nig. Ltd, ADDAX Petroleum, OANDO E&P Ltd, and MONI PULO Ltd.

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